Charles Barkley is not a fan of NIL’s business landscape.
Barkley is a former Auburn University athlete who went on to an NBA career with the Philadelphia 76ers, Phoenix Suns, and Houston Rockets, before retiring in 2000 after 16 seasons, notes Spotrac. He played during an era when athletes profited from their name, image, and likeness (NIL) only after going pro. He received $40.6 million in career earnings. According to Pro Football Network, through his business footprint beyond the league, which includes investments in Redmont Vodka and Round Mound Media, as well as endorsements and broadcasting contracts, his net worth today reportedly sits at $90 million.
While Barkley has made his big bucks post-college, this is no longer true for other college athletes. An increasing number of student-athletes are becoming millionaires after governance bodies across all three NCAA divisions lifted restrictions on NIL compensation, as AFROTECH™ previously reported. In July, colleges also received the clearance to pay athletes directly, per Channel 6 Action News. Athletes to benefit include AJ Dybantsa, a recent graduate of Utah Prep Academy who was named the top college basketball earner in June, as he is on his way to Brigham Young University. His NIL valuation sits at $4.1 million, On3 lists. LSU women’s athlete Flau’jae Johnson has a slew of deals, with one of the latest being with Unrivaled, a 3-on-3 women’s basketball league reportedly offering the highest-paid salaries in women’s sports. Johnson joins a roster of 14 women athletes to sign NIL deals with Unrivaled, according to a press release shared with AFROTECH™. She also has a $1.5 million NIL valuation, per On3.
However, while athletes can now build towards generational wealth earlier in their playing careers, Barkley does not consider the NIL landscape a sustainable business model, although he admits he would have earned a lot of revenue if it had existed during his time.
“They’ve got to fix this thing because it is totally out of whack and out of control right now. It’s an unsustainable business model to beg donors like myself for millions of dollars every year,” he explained on the “Pardon My Take” podcast. “I love my college, but I’m not going to go broke giving them money every year. I mean, it’s just an unsustainable business model to pay kids $20 million, $30 million a year. There’s no business that can do that.”
He continued, “I’m not against guys making money. Whatever guys are making in the NBA and college, bless them. But this model we got in college now where you can just pay kids tens of millions of dollars, that’s just unsustainable.”
